Deadline to sign up for the Affordable Care act. Also opening day for major league baseball. Turbine four opening days because youre the dodgers play the diamondbacks in australia. April 10 is openingday. They, by train and car. Back in the day. From florida. Is that like pennsylvania 65000 . Were going back a few. What if we got here . Data check. Boring first quarter, but sometimes i can be good. Futures up 7. Hydrocarbons elevated. They just wont go down. Ruble, foreignexchange, the dow not bad. Gold under 1300. The ruble after the festivities over the weekend with secretary john kerry and foreign minister lavrov, this is the putin vote. There is a stronger russian ruble for Vladimir Putin this morning. Lets get to the front page. We will pick up where you left off, which is russia. Russia is gradually withdrawing troops from the border with ukraine according to afp, which cites a spokesman in the defense ministry. John kerry earlier had demanded a withdrawal. He said this was a precondition for some sort of middle ground. For those who did not want to this week and, this was a posturing weekend. Vladimir putin and president barack obama also had a conversation by phone were not a lot got done. They talked about putins final four. That is a different final four. Secretary john kerry was flying home to new york and stopped in ireland to refuel. He got on the phone with lavrov and he said to get back to paris, so they turned the plane around. That is how they got together. More on russia and ukraine in a moment. Our next story, turkey. Landslide victory in the local elections by erdogan. By means a 146 won 46 . You went back and forth. This is not reported news, but within a few medication you have, saying it shut down they were tweeting me talking about how difficult it is to get access outside access to media. There has been a shut down there. First, they took down youtube and twitter. This is after months of allegations of corruption against erdogans government. We will also talk to elliott istanbul about this today. Can i go to istanbul . The food is outrageous. We will send you next. It is stunning. There is water, you walk through, freshwater from a zillion years ago. We need things to calm down first. Story, did you see Michael Lewis on 60 minutes last night . He was inflammatory, to say the least. He has a new book out. What he claims his highfrequency trading has led to the u. S. Stock market being read, even if it is legal. The stock markets are not commenting, but the president of another Exchange Says he disagrees with Michael Lewiss allegations and says it is unfair and youre responsible to accuse people simply because of using new technology. Listen to a key element from the lewis interview. The stock market is rigged. The United States stock market, the most iconic and global capitalism, is rigged. By whom . A combination of the stock exchanges, the big wall street banks and highfrequency traders. Highfrequency traders account for about half a share volume in the u. S. Arthur levin has been phenomenal on this. We him to permit has been just angry leon cooperman has been just angry. Michael lewis will be joining surveillance thursday at 7 00 a. M. Eastern time, author of the new book flash boys. Question, loaded which is why we are asking it today. Our twitter question of the day it is a loaded question. Weekend in new york city. We hope you had better weather. It was a fourhour meeting with the secretary of state of u. S. And the foreign minister of russia, agreed to disagree. Should the future of ukraine look like switzerland or Canadian Federation or some approximation of the union of soviet socialist republics . A private citizen who worked with the Army Intelligence in afghanistan and with the pacific can, adam parker with us as well. Talking on the equity markets. Wonderful to have you here. What was the backstory of the nondiscussion this weekend . Actingia is not really e a responsible Citizen International citizen. Im not optimistic despite reports about troop movements of ukraine or out moving away from ukraine, russian true movements. Im not optimistic about russias intentions there. Saying putin is trying to make some form of the ussr not the beatles song, but reality. Do you see as a pro the leader of russia would like to recapitulate 1950 . I think putin felt hurt, intoed by nato expansion eastern europe. I think he is trying to regain as much as he possibly can in terms of at least in terms of influence, possibly in terms of territory. He has shown us in georgia that he is trying to get back territory if he can. He is moving troops around. Just the fact the press has reported maybe theyre moving away or the Ukraine Defense ministry as and maybe theyre moving away, doesnt really mean much because the russians are masters of deception. They are moving their military around all the time in order to create confusion in the intelligence service. What is prudence next move putins next move . He could easily go into ukraine. Ive seen estimates up to 100,000 Russian Troops massing on the borders. I think that is a very dangerous thing. Lets be honest, are the Baltic States threatened . A relative when you threatened . I think nato needs to think about shoring up those National Forces that are in all of our Eastern European allies. Nato . Is theres a whole bunch of nato countries. Think of g7 and throw in the u. S. It hasnt been relevant, but does it suddenly become relevant again because of what putin has done in the past . Nato is very relevant to cause it is the organization because historically it is kept russia from expanding toward the west. Not only is nato relevant, but nato needs to start bringing in japan and australia closer into the fold. Interesting. Does nato necessarily need to reassert itself . Absolutely. And it needs to increase the strength of the bonds outside of just the old atlantic. Now russia and china are both expanding territorially. Ways, d meritorious in maritime ways. Theyre threatening countries like japan and australia. This is great geopolitical talk. I dont see this in your research. Is this completely exogenous to what we do with our investments . There is always going to be geopolitical risk. The question is, what can you reasonably forecast . We try to focus on corporate earnings. Are expanding through the euro crisis and the fear china hard landing and the rest desolate debacle. As earning season starts, i think well be ok news. Do you pick up the petroleum or emphasize the exxon and mobil of the world . I think it is not quite overweight yet. Shuttle diplomacy across europe as there were china figure out what to do with ukraine. A little shuttle the policy on the Basketball Court over the weekend. Louisvilletucky beat on friday night, a huge game, then beat michigan last night, going up against wisconsin. We have florida versus connecticut and the other half. Youre mr. International power. Lets get national. Final four . I dont know, who is there there . Kentucky, wisconsin, florida, connecticut. I would to the university of michigan, so im still licking my wounds. Get over here and look at this bracket. Such a shameless plug. Up top i want to have a moment of silence for stephanie ruhle. The reason she is so lame here is because she is on a threeweek vacation. Something like that. Im down near the bottom with a guy named bloom bloomberg. That is ugly. Company to bed in. Thank you. Ive never done as poorly. Wisconsin is my only final four production that made it to the final four. At least you got one in four. Lets get the company news. We start with comcast which may boost its buyback land. Considering increasing stock purchases by more than 80 . Comcast cfo says another 2. 5 billion to be added. The investigation into possible currency rate fixing gross. Swiss regulators are looking to see if banks traders manipulated Foreign Exchange rates. The antitrust Commission Says more banks and brokers may have been involved in the possible pricefixing. Huawei forecast sales gains. They also posted record sales for 2013 and two gains in its enterprise and consumer businesses. Weren we come back, going to detroit, talking about yet another series of recalls at General Motors. This thing is getting absolutely frightening. Youre watching bloomberg surveillance. I can talk. Help me. Randy levine. President of the dreaded new york yankees. The yankees opener tomorrow. He will be here at 4 00 today. Love the cover of the New York Times this weekend. Really interesting. It is spring, opening day. It should be april 10. This is bloomberg surveillance. Lets get to our number of the morning. 2. 5 million for the number ceo awake atm night. Recalling 2. 59 million vehicles because of faulty ignition switches that have led to the death of 13 people. The Detroit Bureau chief joins us by phone. He was congressional investigators released a bunch of documents yesterday on the ignition switch problems. What did we learn . The two main things is that gm decided not to repair this and one of the factors was a business decision, which is the first time we have used those words in this case. And he was government try to do something in 2007 and did not. Is this decision. Hows that different from a cultural decision . The fact it was a business decision suggests that he was an issue in that has not been something we have heard up to this point. That is one thing mary barra will have to answer for when she testifies tomorrow. I want to be clear because that is a shocking concept. Business decision. In other words, was some sort of bean counter a gm saying, if we fix this thing, it will cost us x and if we dont fix it and we get sued, it will cost us y, and y, therefore, we are not going to fix it. We do not know the y part. Really know the offsetting cost. There were tooling costs and a business reason for not doing it. We dont know what the other side of the equation was. Frame this for us. We are three weeks into the soap opera. How big is this compared to previous recalls . Is this the biggest thing since sliced bread or lesser deal than toyota of a few years ago . The biggest difference is the gm executives have already thrown themselves on the mercy of the court. Theyre not trying to justify it or say they did not do anything wrong. Theyre saying, we were wrong, were sorry, we need to figure out why this took so long and fix it. Throwing themselves out there to let Congress Beat on them. Thank you. Look for his reporting at bloomberg. Com. A smart story on the admissions in 2005. Adam parker with us. A dumb question, is the Auto Industry a sector anymore or so globally diffused a u. S. Guy like you cant get a handle on it . Is a small part of the s p. We have no auto exposure in the portfolio anymore. Why . Added a lothey have of capacity. The stocks went up a lot in 2013. If you look across the market, theres not that Many Industries were there for added a lot of capacity in the last few years. Capital spending has been suppressed. Not so true the Auto Industry. The nonautor on sector. Were just Getting Started right here on bloomberg surveillance. Will bep, Stephen Roach our guest host. He had a great essay on chinas effort to rebalance the economy and the u. S. Is not effort to do the same. This is bloomberg surveillance. Good morning, bloomberg surveillance. This weekend, wire senator and were away, and women there was snow in washington. Came out. We did our imitation this weekend in new york city. It started raining. So much snow and rain you have to get in the ark and save yourself . A bipartisan ark. Keeneorning, i am tom with scarlet fu and adam johnson. Time for the morning must read. I have a good one. This come to us from our london office. She writes the following essay of the weekend, Simon Johnson said the same thing. All about corruption. Anders corr with us. Help us here. Corruption is just that deep in the ukraine and other countries . My understanding is that corruption is very high in ukraine. All you have to look at is the former president yanukovychs sigrid palis they came to light shortly after he fled. Secret palace that came to light shortly after he fled. Corruption is very high. That is one of the biggest risks to doing business in that area. You founded your business corr analytics, your wheelhouse is running numbers. How do you quantify corruption, the impact on the economy . Transparency international is a great source for quick and easy understanding of corruption , pretty much in every country in the world. As far as quantifying corruption, we would have to do some research on that. But i dont mean to interrupt, but does secretary terry read that . I think so. If anyone who wants to understand relative corruption around the world will look at transparency international. Is the u. S. In any position to influence ukraine or russia on this . We try. I think the u. S. Tries its best to promote their business , butngs around the world frankly, it is so deep and local it is very hard to change a culture from being secretary of state. You look at venezuela. They are more oil than any other country in the world and they cant make it work because of corruption. How do you get rid of corruption in 30 seconds or less . I think it is a longterm game. It is going to have to do with Economic Growth in those countries. Posit economic wealth increases, theyre less willing to take bribes to do things. We will see how it plays out. Thank you for joining us, anders corr. Coming up, Morgan Stanley bets big in the tech sector, but is there fear of a bubble . Good morning, bloomberg surveillance. Quartery of the first of 2014. Lets do a data check. We had a mixed first quarter. It has been a big jumble. Futures up a bit. Hydrocarbons are up, up, up. Texas is doing better than good. We will get to that in a moment. Small caps have led the way. Ibm, Texas Instruments and the like. Adam parker is with Morgan Stanley, not in cash. Bill white joins us, a democrat. That was an extinct species until he took over houston. We are honored to have you with us. Adam, technology is unloved. Ibm is a character. But it is a whole group, isnt it . If you look at the fastestgrowing industries in the stock market, two of the three of them, then he have internet and software. I dont think you want to have no exposure to tech as was in income statement and i did they werent going to be a value trap, but get it going . Is it the top line of the income statement . For the old Tech Companies, they have to show progress on growth. Youre right. Otherwise, you to focus on new tech and wrapped her arms around whether you can get from travolta valuations of some of those names. Biotech Companies Leading the nasdaq down, is that an indication of a bubble and doesnt presage more decline among the Tech Companies . It was the height growth companies, even internet and software. We a styleneutral. I dont want a big growth fell on my portfolio. Adam johnson, to review, adam parker was a pinata 18 months ago where he was underperforming, supposedly, but you in the market. You pivoted. Outperformedlios every of the s p but theyre been years when ive had a good market call and years where ive had a bad. Isting bullish 18 months ago because i dont think corporate earnings are going to be anything but growing the next few years. I think it is the call of the duration of the cycle more than anything else. The average estimate for growth is about 8 . Health, bestperforming group last year. Why not just a with health care . It has been our biggest overweight and still is. When i compared to other parts of the markets, it is cheaper, beating estimates mark, etc. Beating estimates more, etc. Bill white is with us, the former mayor of houston. Oh,y to the north dallas. A small city there. Texas instruments is there. How important is the tech to texas . It is pervasive in our state. Austin was a real center for semi conductors. Then there are Software Companies throughout the state of texas. One thing that is occurring, youre seeing austin benefit from it, there is relatively low tax rate, good quality of cheaper cost of housing. Youre seeing a revival of tech in places other than silicon valley. Heres a quote from adam latest m his rat what is the valuation factor . , very fastestgrowing stocks valuation doesnt work. Fastgrowing stocks that are cheap, underperformed are expensive. Figuredet is all ready out something about your Business Model is not sustainable. You have to be careful for those fast growers. It wont help you make any money over the next six to 12 months. Fold in what we heard from janet yellen is signaled six months for interestrate increase in and other fed president s kind of backpedaled a little bit. Howdy folded into what youre expecting . Our house call is about 15 to 18 months from now they will see the front then move the funds. Equities lets say six months anticipatory of these kinds of actions. I think you have a ninemonth window where good economic news, good corporate earnings will be rewarded, and the stock market will go higher. Mayor white, you talk about texas being the place to be for business. You guys generalize america. Am i right . Texas is booming and that is where the investments will go . Served are doing better than others. Some places are doing better than others. Named,her Morgan Stanley j polonsky, he talks about the emerging or the American Manufacturing renaissance. People bringing any faction back to the u. S. Do you see that in texas . We do see that throughout the u. S. And also in texas. Youre seeing a of the wage difference in india and china, higher wages, and the u. S. Wages and productivity are up. Youre certainly seeing it in taxes. A lo